PSTL claimed to have entered into lease/hire agreements with 765 theatres in various states as on 31 March 2008, and with 802 theatres as at the end of June 2008. However, during investigation it was able to show copies of only 257 such agreements
Mumbai: Market regulator Securities and Exchange Board of India (SEBI) on Friday imposed fine of Rs90 lakh on N Narayanan and V Natarajan, directors of Pyramid Saimira Theatre (PSTL), for indulging in fraudulent and unfair trade practices, reports PTI.
The case relates to PSTL’s involvement in committing irregularities in its books of accounts and showing inflated profits and revenues in financial statements for 2007-08.
PSTL and its directors lured the general public to invest in the shares of the company based on such false financial statements.
“After taking into consideration all the facts and circumstances of the case ... impose a penalty of Rs50 lakh on the noticee N Narayanan and Rs40 lakh on the noticee V Natarajan respectively, under Section 15 HA of the SEBI Act which will be commensurate with the violations committed by them,” the market regulator said in an order.
The Section 15 HA has provisions for imposing penalties in case of fraudulent and unfair trade practices.
The order comes a day after SEBI imposed a penalty of Rs1.1 crore on MS Swaminathan, promoter and managing director of PSTL in the same case.
Both Mr Narayanan and Mr Natarajan were whole-time directors of PSTL during the period when the irregularities took place and were alleged to have published false and misleading financial results of company.
SEBI had initiated inquiry on the irregularities in November 2009 and a show-cause notice was issued against Mr Narayanan and Mr Natarajan in April 2010.
PSTL claimed to have entered into lease/hire agreements with 765 theatres in various states as on 31 March 2008, and with 802 theatres as at the end of June 2008. However, during investigation it was able to show copies of only 257 such agreements.
The market regulator also found that no money was paid by PSTL to some theatres for creation of security deposits.
SEBI also observed the duo failed in their duty to exercise due care and diligence and allowed the company to fabricate the figures and making false disclosures.
The expansion was attributed to the health growth of electricity and steel, which grew by 8.2% and 12.5% in June from 3.8% and 4.3% in the same month in 2010
New Delhi: With electricity and steel showing healthy production growth, the eight core infrastructure industries expanded by 5.2% in June as against 4.4% in the same period last year, reports PTI.
The industries-crude oil, petroleum refinery products, natural gas, fertilisers, coal, electricity, cement and finished steel-have a weight of 37.90% in the overall index of industrial production.
With addition of two sectors-fertilisers and natural gas-the number of key infrastructure sectors, picked up separately for measuring performance has now gone to eight.
Electricity and steel grew by 8.2% and 12.5% in June from 3.8% and 4.3% in the same month in 2010, according to the provisional data released today.
Crude oil production grew by 7.7% in the month under review from 6.8% in the comparable period of last year. Petroleum refinery products, too, grew by 4.7% from 2.9%.
However, natural gas, cement, coal and fertiliser showed a negative growth of 11.7%, 0.8%, 3.3% and 2.4%, respectively.
During April-June 2011-12, the growth of core industries slowed down to 5% from 6.8% in the same quarter previous year.
The growth of eight core infrastructure industries slowed down to 5.3% in May against 7.4% a year ago.
Yes, the increasing price of gold continues to attract many buyers and investors. But did you know that gold has in fact gained just 8.9% on a compounded annual basis since 1991? And don’t be foolish to believe that the price will continue to rise always
IDBI Mutual Fund has announced the launch of a gold ETF fund, the latest to enter this segment after a series of ETFs launched recently by HDFC, ICICI and Birla Sun Life mutual funds.
IDBI Gold ETF is an open-ended gold exchange traded fund, like any other gold ETF, and there is nothing novel or different about it from the already existing gold ETFs.
A gold ETF is a paper asset designed to track the gold price without holding physical gold. But is gold a good asset to buy today? Nobody really knows. The price of the yellow metal has already jumped about six times over the past ten years, from $250 to around $1,500 and it may continue to rise or go down, depending on which way interest rates go.
Jumping into any asset that has already increased in value many times over does not make any sense, irrespective of the fact that it could head further up. The best investments are those that are available at a low price, are not very hot, and have started an uptrend, and not when they are already hot and you consider investing in anticipation that it would rise further.
Indians believe that the price of gold (as that of real estate) is always increasing. This is true. But let that not lead to blind belief. If you don't know by how much the price of gold has gone up over the past 20 years, or why, it would be blind to believe that it is going to continue to go up endlessly. It is a common belief that gold offers good returns over the long term. Again, not true. Since 1991, gold is up just 8.9% on a compounded annual basis. That hardly beats a recurring deposit scheme!
Gold is not an investment, but a speculative asset, influenced mainly by the dollar and US interest rates. If you invest in gold, you cannot be passive about it, expecting a rise year after year. Gold does well only in certain market conditions, that is, when real interest in the US is negative to zero. This has been the situation for a decade now and nobody knows how long it will continue. If it does, gold will rise further.
There are only speculative forces pushing up the price of gold, something that is beyond the grasp of an average saver. And I this is so, there is simply no logic in investing in gold. Of course, there is speculative merit aplenty, as long as you know when to pass it on to the next sucker.
The IDBI ETF will invest 95% to 100% of assets in gold and gold-related instruments with a medium-risk profile. On the other side, it would allocate up to 5% of assets in debt and money market instruments with low- to medium-risk profile.
The new fund offer price is Rs100 for cash at a premium equivalent to the difference between the allotment price and face value of Rs100. The allotment price would be approximately equal to the price of one gram of gold.
The scheme will be managed by Gautam Kaul and it will be benchmarked against the domestic price of physical gold.